systems that not only determine the steps needed to produce components but also instruct machines to do the necessary work. Many companies link CAD systems to the manufacturing process through computer-aided manufacturing (CAM) System using computer technology to control production processes and equipment. software, for instance, enables designers to test computer models digitally before moving new products into the prototype stage. Computer-aided design (CAD) System using computer technology to create models representing the design of a product. Now, however, a downed slot machine sends out an “I need attention” signal, which is instantly picked up by a monitoring and paging system called MessengerPlus and sent to a service attendant.Īs we saw in Chapter 11 "Operations Management in Manufacturing and Service Industries", modern companies rely heavily on technology to design and make products. In the past, service personnel strolled around looking for machines in need of fixing. All these contingencies require immediate attention by a service attendant.
At any given point, some slot machines are down, whether because a machine broke or ran out of money or somebody hit the jackpot. The data are then analyzed by a computer programmed either to make adjustments or to signal an operator.Ĭaesars uses process-control technology to keep customers happy. Typically, it depends on sensors to collect data periodically.
It’s useful, for example, in testing the temperature of food as it’s being prepared or gauging the moisture content of paper as it’s being manufactured. refers to the application of technology to monitor and control physical processes. Process control Application of technology to monitor and control physical processes. As you can see, transaction processing system output can consist not only of documents sent to outside parties (in this case, notification of payment received), but also of information circulated internally (in the form of reports), as well as of information entered into the database for updating. The information would be processed by the firm’s transaction processing system, but it wouldn’t be a financial transaction.įigure 15.5 "Transaction Processing System" illustrates a transaction processing system in which the transaction is a customer’s electronic payment of a bill. The marketing department, for example, might add some demographic data to its customer database. Everything else is a nonfinancial transaction. Sales of goods to customers, purchases of inventory from suppliers, and salaries paid to employees are all financial transactions. A financial transaction is an economic event: it affects the firm’s assets, is reflected in its accounting statements, and is measured in monetary terms. Input data are called transactions Financial and nonfinancial events that affect a business.-events that affect a business. Most of an organization’s daily activities are recorded and processed by its transaction processing system Information system used to record and process an organization’s daily activities or transactions., which receives input data and converts them into output-information-intended for various users. Let’s look at some of the widely available information systems designed to support people at the operational and upper-management levels. To design marketing programs, for instance, marketing managers rely on summary information gleaned from a dedicated customer-relationship management system. Such a system isn’t very helpful, however, to middle or top-level managers, who need systems to help them carry out their oversight and planning responsibilities. There’s even a printed script that can be used to guide the conversation. Working from a prioritized list of customer names displayed on a computer screen, the salesperson clicks on a name to view relevant information about the customer, such as background and preferred casino activities.
To help its casino salespeople connect to top customers on a more personal basis. Caesars’s IT group, for example, developed the Player Contact System Darrell Dunn, “Personal Touch For VIPs,” Information Week, November 4, 2003, (accessed November 14, 2011) ĭarrell Dunn, “Client-Tracking System Helps Harrah’s Tailor Sales Efforts for Frequent Visitors,” Information Week, November 4, 2003, (accessed June 2, 2006). That’s why organizations often tailor information systems to meet particular needs. Discuss ways in which an IS can be designed to meet the needs of individuals at various organizational levels.Īs we saw earlier, different managers, operational units, and functional areas have different information needs.
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